Straight talk: Medicare scams target seniors

The BBB has received calls recently from consumers who appear to be the target of a Medicare scam. Consumers state that the scam artists offered to send new Medicare cards, including ones that offered extra benefits, and then asked for the name of their bank.

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Posted Sep. 10, 2012 at 12:01 AM
Updated Sep 10, 2012 at 10:11 AM

Posted Sep. 10, 2012 at 12:01 AM
Updated Sep 10, 2012 at 10:11 AM

The Canton Regional and Greater West Virginia Better Business Bureau offers tips and advice for Stark County consumers to avoid fraudulent practices.

TODAY’S TOPIC Medicare/Medicaid scams

THE CONCERN The BBB has received calls recently from consumers who appear to be the target of a Medicare scam. Consumers state that the scam artists offered to send new Medicare cards, including ones that offered extra benefits, and then asked for the name of their bank.

It’s a scam that some seniors fall for. The crooks claim to represent Medicare or another government agency and ask consumers to update information in order to receive their Medicare cards or benefits. If the crooks can get banking information, they’ll use it to commit identity theft.

These crooks can be very aggressive, often calling many times and at all hours of the day to wear down potential victims. They may have limited information about the person that’s easily gleaned from public databases that they use to make the call seem legitimate.

TIPS AND ADVICE

Medicare, Medicaid and the Social Security Administration will not call you to update information or issue a new card. If you get one of these calls, hang up and report it to the Centers for Medicare and Medicaid Services.

Most of the Medicare related scams the BBB hears about are some form of identity theft. Medicare, the FTC and other government agencies warn about other types of Medicare fraud that cost taxpayers billions of dollars a year. They include:

• A health care provider or supplier bills Medicare for services or equipment you never received.

• Someone bills Medicare for home medical equipment after it has been returned.

• A company offers a Medicare drug plan that has not been approved by Medicare (calling seniors under the pretense of enrolling them in a drug plan is another common identity theft scam).

• A company uses false information to mislead you into joining a Medicare plan.

The FBI says that seniors are frequent targets of medical equipment manufacturers who offer them free medical equipment in exchange for their Medicare numbers. Medicare won’t pay for equipment without a doctor’s signature certifying it’s necessary, so con artists fake signatures or bribe corrupt doctors to sign forms. Then they bill Medicare for equipment that wasn’t needed or wasn’t ordered.

The FBI offers this advice to avoid becoming the victim of Medicare and other health care-related frauds:

• Never sign blank insurance claim forms.

• Never give blanket authorization to a medical provider to bill for services rendered.

• Ask medical providers what they will charge and how much you’ll have to pay out-of-pocket.